Malaika Ltd buys and sells product Q-3. It values sock on the basis of last in first out (LIFO). At 1 June 2021, stock in hand consisted of 4,500 units which were acquired at Sh.50 per unit. The operations for the month were as follows: Date Purchases Sales June1 5,000 @ Sh 48 4 6,000 @ Sh 60 5 5,500 @ Sh 49 7 4,000 @ Sh 50 11 7,000 @ Sh 61 12 5,000 @ Sh 50 13 6,000 @ Sh 47 18 7,000 @ Sh 62 19 8,000 @ Sh 64 20 6,000 @ Sh 49.50 21 5,000 @ Sh 65 22 7,000 @ Sh 50 25 6,000 @ Sh 49 26 2,000 @ Sh 47 28 500 @ Sh 60 29 14,000 @ Sh 64 The company incurred operating costs of Sh 450,000 during the month. Required: a) Stores ledger card b) Closing stock valuation

Malaika Ltd buys and sells product Q-3. It values sock on the basis of last in first out (LIFO). At 1 June 2021, stock in hand consisted of 4,500 units which were acquired at Sh.50 per unit. The operations for the month were as follows: Date Purchases Sales June1 5,000 @ Sh 48 4 6,000 @ Sh 60 5 5,500 @ Sh 49 7 4,000 @ Sh 50 11 7,000 @ Sh 61 12 5,000 @ Sh 50 13 6,000 @ Sh 47 18 7,000 @ Sh 62 19 8,000 @ Sh 64 20 6,000 @ Sh 49.50 21 5,000 @ Sh 65 22 7,000 @ Sh 50 25 6,000 @ Sh 49 26 2,000 @ Sh 47 28 500 @ Sh 60 29 14,000 @ Sh 64 The company incurred operating costs of Sh 450,000 during the month. Required: a) Stores ledger card b) Closing stock valuation

Intermediate Accounting: Reporting And Analysis

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Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

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Chapter16: Retained Earnings And Earnings Per Share

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Tindo ltd buys and sells product Q-3. It values stock on the basis of FIFO &SIMPLE AVERAGE .On 1 June 2019, stock in hand consisted of 4,500 units which were acquired at ksh. 50 per unit. The transactions for the month of June were as follows: Date Purchases Sales June 2 5,000 @ ksh.48 6,000 @ ksh. 60 5 5,500 @ ksh. 49 7 4,000 @ ksh. 50 11 7,000 @ ksh. 61 12 5,000 @ ksh. 50 13 6,000 @ ksh. 47 18 7,000 @ ksh. 62 19 8,000 @ ksh. 64 20 6,000 @ksh. 49.50 21 5,000 @ ksh. 65 22 7,000 @ ksh. 50 25 6,000 @ ksh. 49 26 2,000 @ ksh. 47 28 500 @ ksh. 60 29 14,000 @ ksh. 64 The company incurred operating cost of ksh. 450,000 during the month. Required: Prepare the stores ledger card using Simple Average and FIFO Determine the value of closing stock and cost of sales under the three methods.    Prepare the trading account for the month based on the three different stock valuation methods.
Purnima ltd presents the following trial balance for the year ending March 31, 2010. Prepare final accountsTrial Balance as on March 31, 2020.Table from Stock 75,000 Sales 3,50,000 Purchases 2,45,000 Commission received 5,000 Production Wages 50,000 Profit and loss A/c (1/4/09)     15,030 Discount 7,000 Capital (10,000 equity shares of Rs 10 each fully paid ) 1,00,000 Salaries 7,500 Accounts Payables Creditors 17500 Rent 4,950 General reserve 15,500 Insurance 17,050 Dividend paid (2009) 5,000 Interim Dividend 4,000 Account receivables (debtors ) 37,500 Machinery 29,000 Cash and Bank Balance 16,200 Loan to director 3,250 Bad debts 1,580 5,03,030 5,03,030 Prepare and Analyse the Balance sheet of Purnima ltd as per Schedule III,Adjustments:1. Depreciate machinery by 10 %,2. further bad debts Rs 500,3.…
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Tindo Ltd buys and sells products Q-3 . It values stock on the basis of FIFO & SIMPLE AVERAGE. On 1 June 2019 , stock in hand consisted of 4,500 units which were acquired at ksh. 50 per unit . The transactions for the month of June were as follows:
Following is the trial balance of Standard Ltd as on 31st March 2020: Debit Credit Stock on 31st March 2019 75000 Sales 350000 Purchases 245000 Wages 50000 Discount 5000 Furniture and fittings 17000 Salaries 7500 Rent…
The following trial balance relates to Queenie as at 30 September 2019: RM'000RM'000 Revenue (note (i)) 312,890 Cost of sales 148,900 Distribution costs 42,125 Administrative expenses (note (ii))34,680 Loan note interest and dividend paid (notes (ii) and (iii)) 19,500 Investment income3200 Equity shares of 25 cents each 50,000 5% loan note (note (ii)) 30,000 Retained earnings at 1 October 20187,300 Plant and equipment at cost (note (iv)) 90,000 Accumulated depreciation at 1 October 2018: plant and equipment 32,400 Equity financial asset investments (note (v))40,000 Inventory at 30 September 201930,040 Trade receivables 42,900 Bank10,845 Current tax (note (vi)) 1,100 Deferred tax (note (vi)) 900 Trade payables23,400 460090460090 The following notes are relevant: (i) On 1 October 2018, Queenie sold one of its products for RM12 million (included in revenue in the trial balance). As part of the sale agreement, Queenie is committed to the ongoing servicing of this product until 30…
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During 2019, Fun Toys Sdn. Bhd. which began business in October that year purchased 10,000 units of toys at a cost RM10 per unit in October. In anticipation of heavy December sales, Fun Toys Sdn. Bhd. purchased 5,000 additional toys in November at a cost of RM11 per unit. Fun Toys Sdn. Bhd. sold 12,000 units at a price of RM15 per unit in 2019. Calculate the cost of goods sold in 2019 under the following stock valuation methods:i) Last In First Out (LIFO); ii) First In First out (FIFO).
For the year ended December 31, 2019, Settles Inc. earned an ROI of 9.6%. Sales for the year were $16 million, and average asset turnover was 2.4. Average stockholders' equity was $3.2 million.Required: Calculate Settles Inc.'s margin and net income. (Round "Margin" answer to 1 decimal place. Enter the net income answer in dollars, i.e., $5 million should be entered as 5,000,000.) Calculate Settles Inc.'s return on equity. (Round your answer to 1 decimal place.)
During 2019, Fun Toys Sdn. Bhd. which began business in October that year purchased 10,000 units of toys at a cost RM10 per unit in October. In anticipation of heavy December sales, Fun Toys Sdn. Bhd. purchased 5,000 additional toys in November at a cost of RM11 per unit. Fun Toys Sdn. Bhd. sold 12,000 units at a price of RM15 per unit in 2019.Required:(a)Calculate the cost of goods sold in 2019 under the following stock valuation methods:i) Last In First Out (LIFO); ii) First In First out (FIFO). (b)Calculate the closing stock value under each of the stock valuation methods listed in part (a) above. (c) Explain whether an analyst would consider closing stock value more useful when computed usingthe LIFO method or when computed using the FIFO method. (d) Explain whether an analyst would consider cost of goods sold more useful when computed using the LIFO method or when computed using the FIFO method.

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Date	Purchases	Sales
June1	5,000 @ Sh 48
4		6,000 @ Sh 60
5	5,500 @ Sh 49
7	4,000 @ Sh 50
11		7,000 @ Sh 61
12	5,000 @ Sh 50
13	6,000 @ Sh 47
18		7,000 @ Sh 62
19		8,000 @ Sh 64
20	6,000 @ Sh 49.50
21		5,000 @ Sh 65
22	7,000 @ Sh 50
25	6,000 @ Sh 49
26	2,000 @ Sh 47
28		500 @ Sh 60
29		14,000 @ Sh 64